Student Line of Credit
Student Line of Credit
A line of credit gives you a handy option in case you ever need to dip below the cash deposits in your chequing account when unexpected costs come up.
What it is
Cash you can borrow instantly, at any time, without needing to apply again or pay annual fees
Borrow
Up to $5,0001
Best part
Available to young borrowers with limited or no credit history without a co-signer
How a line of credit works.
Student life comes with plenty of surprises like sudden changes in costs, replacing tech or a paycheque that can’t come soon enough. A line of credit gives you ongoing access to funds so you can stay focused on your studies.
Extra cash you can access instantly when your account balance is low
When a line of credit is added to your account, you’ll see extra money in your available balance. Borrow from it when you spend, withdraw or make transfers that dip below what you’ve deposited into your account.
Borrow at a lower rate and repay on your schedule
If used, you’ll be charged interest on the portion borrowed. The rate is usually lower than keeping an unpaid balance on your credit card. Interest is owed every month while you pay off the amount borrowed at your own pace.
Free to have when you’re not using it and always available
There’s no cost to apply or hold a line of credit when unused. You can use and repay it without applying again once you have it. If left unused or used correctly, it can also help build your credit score.
Access up to $5,000
Without credit history or income, you may qualify for a credit limit up to $1,500. If you have a solid credit score, you can get up to $5,000.
Use your student line of credit for anything.
Emergencies and unexpected costs
Cover urgent expenses, from emergency travel to unexpected repairs or medical costs.
Education costs
Pay for tuition, textbooks, course materials, technology, and other school-related expenses so you can stay focused on your studies.
Living expenses
Help cover everyday costs like rent, groceries, transportation, utilities, or moving expenses while you’re in school.
What to use and when: line of credit vs credit card.
For most purchases, a credit card is convenient and you may earn rewards. If you pay off the balance every month, you won’t be charged interest.
But if you’re going to carry a balance or already carry one regularly, consider using a line of credit to pay off your credit card. That way you can owe on the lower interest rate option.
Features comparison.
| Product | Line of credit | Credit card |
| How you access funds | It’s part of your chequing account and can be accessed in the same way: debit card, transfers, withdrawals. | Tap or swipe in person, or shop online. |
| Interest rate | As low as Prime + 1.5%2,3 Today’s Prime rate: 4.45%* To discuss your rate, talk to us | 11.25% to 19.50% |
| Interest owed | Interest accumulates daily on the portion borrowed.4 | Interest is owed on unpaid balances at the end of a billing period. |
| Building credit | Can help build credit when used responsibly | Can help build credit when used responsibly |
| Payments | Flexible repayment. The minimum monthly payment is only the interest (accrued that month) of what you have borrowed. | The minimum monthly payment is typically a percentage of the balance plus any interest charges. |
| Optional add-ons | Creditor protection available for critical illness, disability or loss of life.5 | Balance protection insurance to protect you when the unexpected happens.6 |
| Apply for a line of credit | View credit cards |
Eligibility.
Students can qualify without a co-signer.
You are 19 to 24 years old
Have confirmation of enrollment at a Canadian institution7
You are a Canadian citizen or are a permanent resident
How to apply.
Prepare your documents
When you meet with us, please bring a government-issued photo ID, proof of enrollment and an estimate of your annual income.
Valid government-issued ID accepted include:
- BC Driver’s License
- BC Services Card
- Canadian Passport
- BC Identity Card (BCID)
- Permanent Resident Card
Valid proof of enrollment documents accepted include:
- A copy of your course timetable from your school for the current academic year
- A receipt for paid tuition from your school for the current academic year
- A signed letter on school letterhead confirming that you’re registered for the current academic year
- An unpaid tuition invoice from your school for the current academic year
- Other proof of enrolment sources may also be eligible as long as it includes your full name, your school’s name, study end date, and duration of the program
Meet with us
Book an appointment with our pros. We’ll answer questions and help you uncover the best paths toward your financial goals.
Open a Vancity chequing account
If you don’t already have a chequing account with us, we’ll help you open one.
Check out our youth account.Provide application documents
Once we review your options, we’ll put together the application and handle the rest for you.
Sign for your line of credit
When everything is ready, we’ll set up a time for you to visit your nearest branch and submit your signatures. If you’re an existing Vancity member, you can sign virtually without leaving home.
Questions? We have answers.
Get started.
To talk through your questions or start your application, book an in-person or phone appointment with us.
All your banking in one place.
Applications and approved credit limits are subject to Vancity’s applicable credit review and approval criteria for Student Line of Credit, including identity verification, proof of eligibility, credit bureau review where applicable, and any other conditions set out in the credit agreement. Approval is not guaranteed. The availability of your Student Line of Credit is subject to your account remaining open, in good standing, and abiding by all applicable criteria as per the product agreement. Vancity may change, suspend, or withdraw this offer for new applications at any time. Any changes to an existing Student Line of Credit will be made only in accordance with the applicable credit agreement and applicable law.
The lower Student Line of Credit promotional rate is available only if the borrower is approved for, and continues to maintain an eligible Vancity Student Visa account in good standing. If the eligible Student Visa account is not approved, is closed, is no longer in good standing, or otherwise ceases to qualify, the Student Line of Credit may be priced at the non-bundled Student Line of Credit rate, subject to the credit agreement and applicable notice requirements.
The Student Line of Credit is available with or without a Student Visa card. Borrowers who also have an eligible Student Visa card may qualify for a lower promotional interest rate.
The Student Line of Credit has a variable interest rate based on the Vancity Prime Rate plus an increment. The increment will be determined based on the borrower’s approved Student Line of Credit offer and whether the borrower qualifies for eligible Student Visa Card and bundled rate. Vancity Prime Rate means the annual reference rate of interest that Vancity determines from time to time for Canadian dollar loans. Vancity Prime Rate may change without prior notice. The current Vancity Prime rate is variable at (www.vancity.com/Rates).
When you borrow funds from your Student Line of Credit, interest starts accruing on the amount borrowed from the date the funds are advanced and continues at the applicable annual variable interest rate until the amount is paid back in full. Minimum monthly payments are interest only on the outstanding balance of your Student Line of Credit. However, if you only make the minimum monthly payment, you will not repay your balance and will continue to incur interest on the outstanding amount. Paying more than the minimum payment and reducing your balance as early as possible can help lower your borrowing costs. Please refer to your student Line of Credit Agreement, and related account documentation for complete details regarding repayment obligations, interest calculations, account operation and applicable terms and conditions.
Line of credit protection insurance is a safety net for the unexpected and helps to protect you from defaulting on your student line of credit payments if your ability to earn income is impacted by illness, disability, or death. The details of this insurance product, including important exclusions, restrictions and limitations on the coverage and benefits payable, are contained in the Certificate of Insurance which you will receive when you apply. For more information on line of credit protection insurance coverage, please see https://www.vancity.com/borrow/loans-lines-of-credit/insurance.
Creditor’s group insurance is optional and is underwritten by Co-operators Life insurance Company. Supporting services, such as enrolment intake, medical underwriting and claims administration, are provided by the employees of CUMIS services Incorporated, a subsidiary of Co-operators Life insurance Company. Coverage is governed by the terms and conditions of the creditor group insurance policy issued to the creditor and is subject to terms, conditions, exclusions and eligibility requirements.
Creditor’s group insurance is optional and is underwritten by Co-operators Life insurance Company. Supporting services, such as enrolment intake, medical underwriting and claims administration, are provided by the employees of CUMIS services Incorporated, a subsidiary of Co-operators Life insurance Company. Coverage is governed by the terms and conditions of the creditor group insurance policy issued to the creditor and is subject to terms, conditions, exclusions and eligibility requirements. See the Product Guide and Certificate of Insurance for full Coverage details.
Applicants who are 19 to 24 years old, Canadian citizens or permanent residents, and are enrolled part or full time in a certificate, apprenticeship, diploma, or degree program at a Canadian post-secondary institution are eligible for this offer. Proof of current enrolment will be required. Acceptable documentation includes any one of the following:
- Course timetable for the current academic year bearing the student’s full name.
- Unpaid tuition invoice for the current academic year bearing the student’s full name and indicating fees due.
- Tuition payment receipt for the current academic year bearing the student’s full name.
- Signed letter on official institutional letterhead confirming the student’s enrolment for the current academic year.
A co-signer is not required to apply for this Student Line of Credit. Approval remains subject to Vancity’s applicable credit review and eligibility criteria.
The Vancity logo and other Vancity trademarks are the property of Vancouver City Savings Credit Union or its subsidiaries.